FTX
FTX was a major cryptocurrency exchange founded by Sam Bankman-Fried that collapsed spectacularly in November 2022 amid allegations of fraud and mismanagement. The company filed for bankruptcy after it was revealed that billions in customer funds had been improperly transferred to Alameda Research, Bankman-Fried's trading firm.
Celsius Network
Celsius Network was a cryptocurrency lending and borrowing platform that promised high yields to depositors. The company collapsed in June 2022 amid liquidity issues, freezing customer withdrawals and eventually filing for bankruptcy with a $1.2 billion hole in its balance sheet.
Voyager Digital Ltd.
Voyager Digital was a cryptocurrency brokerage platform that collapsed in July 2022 amid the broader crypto market downturn. The company filed for bankruptcy after being unable to recover $650 million in loans to hedge fund Three Arrows Capital, leaving over 3.5 million customers unable to access their funds.
Sam Bankman-Fried
Sam Bankman-Fried, former CEO of cryptocurrency exchange FTX, was convicted on seven counts of fraud and conspiracy in November 2023 following the collapse of his crypto empire. He was sentenced to 25 years in prison in March 2024 for stealing billions of dollars from FTX customers to cover losses at his trading firm Alameda Research.
Do Kwon (Kwon Do-hyung)
Do Kwon is the South Korean founder of Terraform Labs who created the Terra Luna cryptocurrency ecosystem that collapsed spectacularly in May 2022, wiping out $60 billion in value. After months on the run from international law enforcement, he was arrested in Montenegro in March 2023 and faces extradition requests from both South Korea and the United States on fraud charges.
Mt. Gox
Mt. Gox was once the world's largest Bitcoin exchange, handling over 70% of all Bitcoin transactions at its peak. The company collapsed spectacularly in February 2014 after revealing that hackers had stolen 850,000 bitcoins over several years, leading to bankruptcy and ongoing legal proceedings.
Luna Terra (LUNA/UST)
Luna Terra was a blockchain ecosystem featuring LUNA tokens and TerraUSD (UST) algorithmic stablecoin that collapsed spectacularly in May 2022. The ecosystem lost over 99% of its value in days, wiping out approximately $60 billion in market capitalization and triggering a broader crypto market crash.
Three Arrows Capital (3AC)
Three Arrows Capital was a prominent Singapore-based cryptocurrency hedge fund that collapsed spectacularly in June 2022, triggering a massive contagion across the crypto industry. Founded by Kyle Davies and Su Zhu, the fund managed over $10 billion at its peak before filing for bankruptcy after failed bets on Terra Luna and overleveraged positions.